New Delhi: The Bombay Stock Exchange (BSE) on Friday said there was a delay in allocating NAVs to investors who bought mutual funds on June 4 due to delay in receiving payments from banks and there was no technical glitch on its part.

Investors complained 

Many investors had complained on social media for failing to square off their positions. Many investors bought their mutual funds before the cut-off time, however they were allotted the Net Asset Value (NAV), which determines the value of the fund, for June 5 instead of June 4.

As a result, such investors suffered huge financial losses. BSE said in a statement-

It is hereby clarified that there was no technical glitch at BSE Clearing House (ICCL) on June 4. Prima facie, there was a delay in receiving credit/payment details from the payment aggregator/bank for some clients, which led to delay in NAV.

Big reshuffle happened on 4th June

The clarification came after several broking platforms accused the BSE of a glitch in the exchange’s mutual fund system on June 4, which led to orders being issued the next day (June 5), when equity markets had recovered some of their losses.

The stock market crashed sharply on the day of the Lok Sabha election results on June 4, wiping out investors' wealth worth Rs 31 lakh crore. After exit polls projected a landslide victory for the BJP-led NDA, the BSE benchmark Sensex rallied 2,507 points, or 3.4 per cent, to a new closing peak of 76,469 on Monday (June 3).

However, a day later on Tuesday (June 4), the stock markets witnessed a massive fall, with the Sensex falling 4,390 points or 6 per cent to close at 72,079. This was the biggest single-day fall in four years. On Wednesday (June 5), the Sensex recovered some of its losses and the index rose over 3 per cent.